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“I Can Really See Us Leading This Funding Round” Isn’t a Term Sheet

Hunter Walker

This rarely occurs with established investors, because they know breaking their word is a reputation killer around our community. Whether it’s a hiring manager holding some candidates at bay while they continue interviewing. Can someone develop a reputation for being a Mr or Ms Maybe or overpromising and underdelivering?

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Want to Know How VC’s Calculate Valuation Differently from Founders?

Both Sides of the Table

Back in 1999 when I first raised venture capital I had zero knowledge of what a fair term sheet looked like or how to value my company. Due to competitive markets we ended up with a pretty good term sheet until we needed to raise money in April 2001 and then we got completely screwed. No hidden terms.

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The Rainy Day Fund of Reputation

This is going to be BIG.

I love this job so much and like seeing other people succeed that I have serious FOMO not to hear those stories firsthand and be able to make those hiring intros, pitch a reporter, or ask the right question at the right time in a board meeting. The reputation you create off of each 1:1 interaction with a founder is like a rainy day fund.

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The BSList - Busted Cap Table (No. 104)

This is going to be BIG.

Because you’ve still only got a handful of people on your team and you’re doing nine jobs—none of which involves creating enough reputation and industry notoriety to get on the radar of an investor quite yet. There’s a term sheet. was a term sheet. If they don’t like it, they can give you a better term sheet.”

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How to Work with Lawyers at a Startup

Both Sides of the Table

I know he’s smart but you wouldn’t hire a Javascript developer to do your database design – would you? I’ve met several people from Cooley Godward who have stellar reputations in this category. He was the first guy that I saw demystify the legal terms in his term sheet series.

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Entrepreneurshit. The Blog Post on What It’s Really Like.

Both Sides of the Table

He shut down his company gracefully and even thought it must have felt like a crap sandwich doing so I’ll bet his reputation is still solid with his backers. But why don’t you just give me the damn term sheet you promised so I can trust you even more. You hire them, you own them now. Hire fast, fire faster.

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Understanding the Risks of VC Signaling

Both Sides of the Table

I believe these VC funds have suffered some amount of reputation fall out. We used the Y Combinator open source term sheet. We signed the term sheet within 48 hours and had funded in under 2 weeks. Great reputation. If you accept my terms you’re done. They elected to sign my term sheet.